Executive Summary

1. Pay Scale:
The Master Scale concept is retained with 32 existing grades in place. The
periodicity of increase in quantum of increment every three years retained as
proposed by the 2005 Pay Commission.
The New Scales are evolved by merging DA with basic pay as on 1.7.2008.
The Minimum of the Pay has been worked out as Rs.6700/- p.m.
The Maximum of the Pay is Rs.55660 p.m. and the ratio of Minimum to
Maximum works out to 1:8.31.
The span of Scales increased to 40 upto Grade XVI from the present level
of 33 with suitable increases in the higher Scales to avoid stagnation.
In the unlikely event of stagnation, three stagnation increments are
recommended.
In cases where a junior is drawing pay higher than the senior, the pay of the
senior to be stepped up to that of the junior subject to certain conditions before
migrating to the new scale.
2. Fitment:
The Commission recommends a fitment benefit of 27%.
3. Date of Effect:
Since DA is merged as on 1.7.2008, the new scales come into operation
from 1.7.2008.. Government may take a view on the date from which the
financial benefit would accrue keeping in view its resources position and the
various demands thereon.
4. Dearness Allowance:
The existing practice of following the GoI in sanctioning DA twice a
year to be continued. As the Central rates of DA are based on DA merged
Scales of 1.1.2006 while DA as on 1.7.2008 was merged in the scales proposed
for the State employees the Commission recommends a conversion factor of
0.856 for sanction of DA from 1.1.2009. It means that for every 1% increase in
DA sanctioned by GoI, the DA to be sanctioned by the State to its employees
would be 0.856% for the DA starting from 1.1.2009.

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5. House Rent Allowance:

The Commission adopted the existing rates of HRA at 30%, 20%,
12.5% and 10% for different places and increased the ceiling from Rs.6000/- to
Rs.12,000/- in the case of Greater Hyderabad Municipal Corporation and to
Rs.8000/- for the rest of the State.
Additional HRA in lieu of rent free accommodation retained at 8% of
basic pay and the monetary ceiling increased from Rs.500/- per month to
Rs.1000/-.
There is nothing like Mid Census Population Figures. There is only mid
census estimates. Hence for classification of places under different rates it is
recommended that only decennial census figures should be taken into account.
6. City Compensatory Allowance :
The present classification of Cities for City Compensatory Allowance is
retained. The quantum is doubled for the first two slabs and increased by 75%
for the remaining two slabs.
7. Rationalisation of Pay Structure
Pay Scales of some categories of employees in Revenue, Commercial
Taxes, Excise and Transport improved.
The pay scales of Uniformed services including police improved in
certain categories and the existing parities were broadly maintained between
police and other Uniform Services.
Pay Scales of Teachers rationalized and improved based on the
Regrouping done in 1982.
Pay Scales of Veterinarians and Ayush Doctors improved and
relativities established between Ayush Doctors and Veterinarians.
Pay Scales of Para medical staff improved.
8. Automatic Advancement Scheme:
Automatic Advancement Scheme with increases in pay at intervals of 8,
16 and 24 retained.
The Scheme is extended to include Grade XXV from the present
coverage upto Grade XXI.

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Rest of the Scheme in the present form is continued including fixation of

pay under FR 22B on regular promotion.
Where the application of FR 22B on regular promotion results in the
senior drawing less pay than the junior the seniors pay should be stepped up.
Where Rules are relaxed to enable regular promotion, they should
automatically be extended to Automatic Advancement Scheme for extending
benefits under SPP-I / SPP-II.
If Service rules are altered imposing additional qualifications for
promotion after the entry of the individual into service which denies him the
benefit of promotion and consequently the benefit of SPP-I / SPP-II, he may be
given the benefit of next scale contemplated under Special Adhoc Promotion
Posts I & II.
Procedural improvements and clarifications provided for a better
understanding of the scheme.
9. Leave Benefits:
Maternity leave increased from 120 days to 180 days on par with GoI
employees.
Payment of HRA and CCA while on leave upto 180 days recommended
to bring it on par with GoI employees.
Formula for encashment of leave on half pay at the time of retirement /
death brought on par with the revised formula of GoI.
10.

Medical Benefits:

Payment of Medical Allowance @ Rs.200/- p.m. for pensioners

family pensioners.

and

Removal of 10% cut in the case of treatment in recognized private

hospitals.
Delegation of enhanced powers of scrutiny and sanction.
Suggested entitlement of wards for the inpatient treatment.
Suggested implementation of Contributory Health Insurance Scheme to
the employees / pensioners.

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Extension of medical facilities to the staff of Aided Institutions /

Universities when the Insurance Scheme is implemented.
11. Special Pays:
Extended Special Pay to the staff in Peshis of (a) Chairman / Members
of APPSC, (b) State Election Commissioner, (c) Chief Information officer and
Information officers, and (d) Presiding
and Political Officers of
Legislative Assembly / Legislative
Council.
New categories added in Vigilance & Enforcement Department due to
addition/upgradation of posts, certain categories of staff in
A.P.Bhavan,
New Delhi, Legislature Secretariat, Protocol
Department and Raj Bhavan
covered under Special Pay.
Special Pay extended to the staff working in Farms belonging to
Sericulture Department on par with the staff working in the farms belonging
toAgriculture, Animal Husbandry, Horticulture & Fisheries Dept.
Training Incentive rationalized based on categorization of Institutions.
Rationalised the amounts of special pay to the teachers working in
Government/Aided schools for the Handicapped children.

the

In other cases the existing rates are increased

12. Other Allowances:
In the case of Uniforms, the Commission recommended
replacement of the existing system of supply of Uniforms to some
categories and sanction of Uniform Allowance to others by an
allowance to be paid in cash annually to the employee / officer
concerned.
Various allowances for maintenance of Uniforms replaced by a single
Uniform Maintenance Allowance paid every month for maintaining
Uniform, Kit etc. The rates are fixed based on whether a full fledged Uniform
is prescribed or only a Coat/Apron has to be worn by the officer.
Concessional bus pass facility extended to the NGOs working in all the
Municipal Corporation towns.
Reimbursement of Tuition fees increased from Rs.400/- p.a. to
Rs.1,000/- p.a. per pupil.
Funeral Charges increased from Rs.5000/- to Rs.10,000/-.

a)

Risk Allowance extended to some categories of Para medical

staff of Heath Department, Ayush Dept.

b)

Risk allowance extended to the employees working in Dam

Galleries of Srisailam project with suggestion for extension to
similarly placed employees in other projects.

Conveyance charges provided to staff of Protocol /Cultural Affairs

department.
Ration allowance extended to ANMs belonging to Ayush Department.
Night duty allowance extended to certain para medical staff inMedical
Departments.
Emergency Health Care allowance provided to Doctors belonging to
Ayush department and to Veterinary Doctors of Animal Husbandry
Department at Rs.1000/- p.m.
P.G. Degree allowance @ Rs.750/- p.m. to the Doctors of Ayush
Department and P.G. Degree allowance @ Rs.750/- p.m. and P.G.
Diploma allowance @ Rs.500/- p.m. extended to the Veterinary
Doctors.
Increase in Tribal allowance to the Doctors of Medical & Health
Department working in Tribal areas by Rs.500/- p.m.
Increase in Rural allowance to the Doctors of Medical & Health
Department working in Rural areas by Rs.500/- p.m.
Office allowance and Maintenance allowance extended to public
Prosecutor, Additional Public Prosecutor, Gr I & II and Senior
Asst. Public Prosecutor.
Theatre allowance extended to Head Nurses and Theatre Assistants of
Medical Departments.
The rates of all other allowances are increased suitably.
13.

New Allowances recommended :

Library allowance recommended to all Public Prosecutors at Rs.1000/per annum.

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Intensive care unit allowance recommended to Nursing Staff working in

Intensive care units of the Hospitals at varying rates.
14.

Pensionery Benefits:
(a) Service Pension & Family Pension
Pension/Family Pension to be consolidated by adding Dearness
Relief as on 1.7.2008 and a fitment benefit of 27%.
Minimum Service Pension/Family Pension placed at Rs.3350/-.
Dearness Relief to be provided to pensioners as and when Dearness
Allowance is sanctioned by the Government to its employees.
Additional Quantum of pension/family pension provided in the
case of pensioners above the age of 75 years onwards.

Weightage of 5 years, as against the existing 3 years, in the case of

retirement on Superannuation on par with Voluntary Retirement.
Apprentice period of Teachers, period spent on Training in the case of
officers and members of the Police and any other category
where Training
apprenticeship is pre-requisite, the period so
covered to count for qualifying
service for pension.
To follow the Government of India rules for the payment of family
pension.
Further liberalization of provisions and extension of the existing
orders to widowed daughters for eligibility for Family Pension
without reference to any specified date.
Increase in the minimum of funeral charges from Rs.5,000/- to
Rs.10,000/-.
Liberalisation of the procedures in the manner of processing and
finalization of pension including waiver of collection of Pension
and leave
salary contribution for periods spent on deputation to State
Assisted
Organisations.
(b) Gratuity and Commutation:
To add D.A. to basic pay for arriving at the quantum of Retirement
Gratuity with increase in ceiling of gratuity from Rs.3.50 lakhs to
Rs.7.00 lakhs.

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To adopt the revised commutation value table as applicable to the

employees of Government of India.
(c) Financial Assistance:
Those covered by financial assistance will have enhanced assistance
equal to the minimum of Family Pension without any further Dearness
Relief.
15.

Observations on Pay Revision Commissions and Anomalies

Committees :

Present cycle of PRC followed by Anomalies Committee, followed by

another PRC should cease.
Committee of Secretaries to examine representations relating to
anomalies.
Committee to take up examination only in cases where a prima
facie case of anomaly made out.
Committee not to replace the judgement of the PRC in cases where it
has consciously assigned a particular scale to a category of employees.
PRCs judgement can be substituted by another PRC and not by Anomalies
Committee.
Revisions at short intervals to be replaced by Government of India
pattern of revision once in 10 years.
DA merger to be aligned with DA merger for Government of India
employees in the next revision.
When DA reaches 50% of basic pay all allowances may be increased
by 25% so that necessity for a PRC at short intervals is
eliminated.
16. Declaration of posts as Gazetted
As part of additional Terms of Reference Government wanted the
P.R.C., to review the recommendations of the Anomalies
Committee 2008 wherein they recommended Gazetted Status for
certain category of employees and also examine further proposals
received from various Departments for according Gazetted Status.
Government also wanted the criteria to be laid down for according
Gazetted status.

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Commission has laid down 6 parameters for considering Gazetted

status to any post.
Commission also recommended that the following posts be made
Gazetted.
1.
2.
3.
4.
5.
6.
7.
17.

Municipal Commissioner Grade III.

Pharmacy Supervisor.
Assistant Engineer
Sub-Registrar Grade II and I
Asst. Motor Vehicle Inspector
Sub-Inspector of Police / RSI
Manager, Text Book Press.
Non Teaching Doctors Time Bound Promotions.
Problem not limited to Civil Asst. Surgeons.

Problem of stagnation common to many class I posts where

recruited officers are deployed at Mandal level.

directly

Since the problem is common to many Departments the solution

was suggested in the scheme relating to Automatic Advancement
Scheme.
Civil Assistant Surgeons are presently not covered under the Automatic
Advancement Scheme as the Scheme is limited to those covered upto
Grade XXI scale of pay and the Civil Assistant Surgeons are in GradeXXII.
Commission
recommended
extension
of
the
Automatic
Advancement Scheme upto and inclusive of Grade-XXV. This
would bring in not only Civil Assistant Surgeons but also Deputy
Civil Surgeons under the fold of Automatic Advancement Scheme.
Consequently no separate recommendations were made applicable
only to Non-Teaching Doctors.